Baptist Health Alabama and Tenet Healthcare Corporation announced on Friday, Oct. 2 that they will be embarking on a joint venture in owning and continuing the operations of a network of healthcare institutions in central Alabama and Birmingham.
The collaboration of the two companies will encompass all the hospitals under the Baptist Health System, which include Princeton Baptist Medical Center, Citizens Baptist Medical Center, Walker Baptist Medical Center and Shelby Baptist Medical Center, as well as the Brookwood Medical Center by Tenet and all the affiliated facilities of both companies.
Among the two parties, Tenet will play as the majority partner and will be the one to hold the supervisory role for the operations of the network.
Unified by one venture, the new system will offer approximately over 1,700 beds, nine outpatient department and 68 doctor's clinics, who shall accommodate primary and specialty care needs of patients. The clients of the network will be serviced by more than 7,000 staff and about 1,500 accredited physicians.
Keith Parrott, chief executive officer of the new network and former CEO of Baptist Health System said that with the new system, the team will persist to live the mission of both companies to give high-quality care to the citizens of central Alabama, while improving the availability of medical resources for the areas that they cater to. He added that the collaboration will boost joint efforts in the entire area while maintaining and supporting the Baptist norms and the faith-founded approach that the company employs for quality healthcare.
"We are very excited about this innovative partnership," said Garry Gause, chief executive officer of Tenet Healthcare, Southern Region. He said that the collaboration will help patients by giving integrated care over a wider area on more cost-efficient terms. He added that the partnership will aid them in expanding their footprint and attaining a good position to survive in the highly dynamic sector of health care.
Officials from both Baptist Health and Tenet had previously announced that the joint venture will entail about $250 million at the minimum for capital investments that will enhance the facilities of both companies in the next half a decade.
In the recent years, Tenet has been trying to push numerous collaborations all across the nation. Baptist Health, on the other hand, said that it was searching for a bigger health care company because of the inflating costs needed to provide health care needs as a small network.
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